Over the last
decade, the Internet has exhibited utmost growth and trend change over the use
of online content. The ever-evolving Internet has resulted in growing Internet
traffic, content richness, and the resultant network complexities in managing
efficient content delivery to users. To counter these Internet limitations and
content delivery drawbacks, CDNs have evolved.

The CDN is one of
the fastest revenue generating market for the existing as well as for the new
players. Rapid explosion of web-based content, mainly online music, online
video, online transaction-based services, has enhanced the demand for CDNs.
Nowadays, online content is growing at a rapid rate from content providing
businesses as well as due to individuals who have started posting or uploading
their content online to share with their peers. As the Internet traffic load
increases, it becomes difficult to manage such huge traffic and provide Quality
of Service (QoS) to the end user. Due to increasing demand for QoS, new players
are entering this market with their network structure for network optimization.
This increase in the number of new entrants results into intense competition
for the new as well as for the existing leaders. Content providers have to
choose between different CDN providers for achieving better QoS for their
clients.

MarketsandMarkets
believes that the pricing pressure and content providers’ internal CDNs
initiatives are the major issues in the CDN market. These challenges are
increasing the pressure on CDN vendors to provide CDN services at low cost.

The CDN market is
estimated to grow from $3.71billion in 2014 to $12.16 billion by 2019, at a
Compound Annual Growth Rate (CAGR) of 26.3% from 2014 to 2019. In terms of
regions, NA is expected to be the biggest market in terms of revenue
contribution while Asia Pacific (APAC) is expected to experience increased
market traction with high CAGRs, in due course.

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